How The Shadowy World Of Organized Retail Crime Works
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- Опубликовано: 11 мар 2024
- CNBC goes inside the shadowy world of organized retail crime, revealing how a crime ring stole millions of dollars of beauty items that ended up for sale on Amazon, according to authorities. For months, we got exclusive access to major investigations by the California Highway Patrol, making arrests and serving search warrants. Ulta Beauty CEO Dave Kimbell, in a first in-depth interview by a corporate leader about organized retail crime, says more needs to be done by the online marketplaces to curb the sale of stolen items.
Correspondent: Courtney Reagan
Senior Investigative Producer: Scott Zamost
Retail Reporter, cnbc.com: Gabrielle Fonrouge
Editor: David Lettieri
Senior Animator: Michael Schwartz
Photographers: Duane Poquis Jacob Jimenez, Dave Dellaria, Oscar Molina, Roger Prehoda, Gary Levens, Gary Wahlgreen, Duane Oldham, Ray Rodriguez, William Pupa, Steve Washington, Mark Aster, Leroy Jackson
Audio: Guadalupe Mejia, Mark Edelstein, Everett Wong, Lori Smith, Erik Anschicks, Warren Wolfe, Chris Hall
Intern: Ali McCadden
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How The Shadowy World Of Organized Retail Crime Works
In addition to stolen items on Amazon, there’s tons of counterfeit items on there too.
When I see prices too low I automatically think it’s a fake. Now after seeing this video it could be either.
here a fact, most of those item aren't clinically tested extensively. just gimmicks and overpriced brands.
I only purchase when it says "Ships and Sold by Amazon".
That's because Amazon is a massive front for China, 38-42% of their top sellers are from China. Americans want to save a buck versus supporting legit brands.
Just getting ready to say that. Beware of any Nintendo 64 game being sold on Amazon. 😆
Running a multi-million dollar shoplifting operation so that you can buy an unnecessary mansion…that’s the peak of American greed.
Greed is everywhere to also include Mexico and Canada. Digital platforms allow sellers to hide themselves and their suppliers.
'MURICA!
Sounds like capitalism to me
They said it was a airbnb rental they never disclosed the criminal owned the home
Literally
Imagine stealing from TJ maxx. A store that’s actually much more affordable and benefits the lower class…
LOWER CLASS 🤔
Clearly you ain't been shopping lately.
Also...lower prices = lower security. It's not about how much it's worth, so much as how easy it is to get away with it.
Working in retail for years. It is cheaper for the corporations to allow someone to shoplift. The cost of a lawsuits if a Employee or Thief gets hurt or killed out ways the cost of the stolen item. Most retailers do not allow you to try and stop or chase after a shoplifter. The only thing that they can do is call the cops after. Also, stolen items become a tax write off for them.
This is TRUE
Thieves now know this and steal millions from places like Ulta. And the tax write off is what the store pays for the item, either it sells or gets stolen. So this costs them millions.
The law is failing society but we choose to just blame corporations. People know they can shoplift and get away with it; and we choose to blame corporations. That’s what is wrong with our generation
Sounds like a good reason for EVERYONE to shoplift, then.
I mean, the way you describe it--is there even a downside?
I used to work at Sephora (pre-Covid), I remember this kind of thing happening in 2016. On my first day out on the floor, someone started piling up Urban Decay Pallets in their arms- my co-worker saw what was happening, so we went up to “offer assistance”, and they just dropped everything all over the floor, and ran…
I always figured they were doing some scam like this-
Are you a hot girl
What do you mean "pallets"? Hilos pick up pallets. It must be something different.
Eyeshadow palettes
@@CarpecynthiaThank you! I was confused, like Danny. Was wondering how did the customer get hold of a pallet jack?
They weren't scamming they were employees for an organized fraudulent online merchant. And guess what? They pay more than Sephora - that's the problem and the sad part
They need to solve the problems like letting people walk out of a store cart full of items. People who work $13/HR in a store are breaking their backs breaking down 10 - 12 pallets per day and separating items so it go onto sales floor and these criminals are coming into the store getting bags and cartful items walking out with the merchandise worth $950 + in half an hour. Who gets the better bargain?!
Also, a lot of shoplifting actually comes from the employees, particularly those working loading. Something got "damaged" and can't be sold?
@@Demopans5990yup. Piece by piece used to go down the shoot next to the truck n dock like at the building where they meet. U can get all kinds of stuff down there😂 cheers
Finally! Someone says what I've thought & verbalized to my associates. We are not busting our a$$e$ for these things to walk out the door.. oh hell no.
Yes, please, put the lives of the minimum wage workers on the line... or hire private security for thousands a day.
I'm so tired of crime being overstated to feed into clickbaiting.
The ones doing the shoplifting are replaceable widgets. You have to catch their employers & shut down the operation.
This is why everything is locked up at Walmart
your walmart...
@@GimpCent most Walmarts are trashy
CVS... City Targets...
Cause people stealing. I would lock my stuff up too
I think that’s do to general stealing, not a theft ring.
Amazon could definitely do more but how about arresting those who steal it in the first place?
we all know why, but, cant say it out loud
Amazon is organized crime. They steal driver's tips. They steal intellectual property and make inferior products .
@@JogBirdsay it with yo ignorant chest
@@JogBirdplease tell us. I am clueless
Me too. Dying to know what deep insights you are hiding.
Why can’t thieves put this energy into something honest? Terrible.
It simply makes them more money than working any regular job…just think about it
Lots more value and profit tor the effort. Plus, the thrill of it makes it a lot of fun.
Why are they blaming online market places when they don’t do anything to stop this in the stores. They’re locking up their merchandise but not the criminals.
Because they know their products are overpriced.
Just because they are overpriced does not mean it's okay to steal. If consumers don't buy products that are overpriced, the companies will lower prices. If criminals are stealing the products because they are overpriced, companies will increase prices and consumers will be the ones to pay more because of theft.@@FourDollaRacing
Because online marketplace do nothing to check where inventory comes from so because there seems to be a lack of checks and balances to make sure what is sold wasn't stolen it encourages more syndicates to do things like this. Locking up criminals doesn't stop this when there's still a place to sell. At that point its a matter of not getting caught rather than a denial of resale.
The libs have moved prisons and half way houses to the outside world and they love it
@@hustle_simmons"Locking up criminals doesn't stop this." Enforcing laws has never stopped criminality, but it certainly helps mitigate it.
A sensible approach would look at both supply and demand factors.
Unfortunately, some DAs are no longer sensible.
I used to work at Sunglass hut and people would just go and grab dozens of sunglasses and run away, they knew to go for the expensive models so we had to move them constantly, and nobody could do anything, not even security was allowed to touch the thieves and they know that, that's why they don't care.
Ahhh good ol lawyers and lawsuits. They have ruined every aspect of America.
@shasmi93 lol true, the company would fire us if we touch them, they are more scared of a lawsuit than getting robbed.
So you didn't put the glasses behind locked glass.
I worked at sunglass hut back in 2010. back then it was already happening all the time and managers would make it seem like it was our fault that glasses were stolen. It horrible back then I can't imagine now.
But a normal citizen can. Those are the folks we need a bunch of vigilantes to kick butt and take names. Don't even gotta where a uniform
This is why I only buy ship and sold by Amazon. Unfortunately I don't trust other sellers in amazon.
Those can be stolen items too.
Yes feed the corporation more then they already have.. FYI they basically steal from their own sellers.. They find hot selling items, and sell their own cheaper hurting their own sellers.. Disgusting af
Amazon itself steals from the government and its workers... how are they even better?
That won’t stop you from getting stolen or counterfeit items
@@marquis-_5501 at this point what isnt stolen or counterfit. unless you get it straight from the company you have no clue. Even then it could be counterfit since the factory could be next to the one copying it
Pleads not guilty, caught at home with the goods lol.
You should always plead not guilty
Careful... for all you know, she bought them from someone else... this is why you are innocent until proven guilty in the USA. There needs to be an investigation and a court hearing with a jury of her peers.
@@themedicalmarvels 100%
Not if there is a plea deal
@@themedicalmarvelswhy?
Having worked as an internal auditor for a retail company, a lot of product walks out the 'back door' aka, internal theft. My town's Walmart had over a $1 million loss due to internal theft. While consumer theft has risen greatly, this video doesn't even talk about how retail product is being stolen by the workers and sold by fencers.
Working for ShopRite back in the day in the North East. Omg your so right I forgot about how pallets used to go missing😂. I can only imagine how much is being taken today still to this day. Most of it goes right down the hole between where the truck meets the building. Passed off piece by piece. I guess cameras mean nothing unless someone is behind them doing something other than taking notes😂
💯
Exactly this. Often times, employees are hand in glove with organized crime syndicates
and no liberal msm ever will talk about employee theft. I lost $50k to employee theft. the liberals put employees on a pedistal and claim they are abused and oppressed by the greedy corporations when its the other way around all the greedy employees are sucking their boss dry so he has no money left to feed his own family let alone pay higher wages
Do your job better
Eventually brick & mortar stores will just become gigantic vending machines. Go in, pick what you want on a touchscreen, swipe your credit card, and the items are brought to you via robots.
That will be the next step.
😂 pretty good idea.
They will charge a tip at the end too😂
Yep
That's already online shopping with less steps.
Who ever guessed that treating criminals as victims and raising the felony shoplifting charge to $1000 would have a negative impact on retail crime, cause businesses to shut down and move out of state, and fuel businesses like these? Oh, add in zero bail and you have the recipe for success.
This was going on way before we had zero bail. They stated in the story. It has gone up because it is low. The ones at the top don’t get the zero bail and they never have and they don’t now so let’s not put out that false narrative. They’re just able to get more people to participate and stealing for them or “working“ for them because there’s less consequences in his fast quick easy money for those that Rather do that then go out and get a job or can’t get a job because of whatever they’re lacking. if there’s no one at the top doing this as their business model to buy a mansion and live a large wealthy lifestyle then there’s none of this “work” for the people at the bottom. You have to stop at the top and we keep just putting the blame on the ones doing the petty crime instead of the one that’s doing the major organized part of it did it will never stop. You have to strike at the top.
Buying a mansion. That is great. It can be seized & liquidated.
I think the do gooders & auditors? Should do something socially redeeming for once.
Top cringe. Walmart's doing fine, hon, and "businesses moving out of state" is standard, worn-out fearmongering that's *so* meaningless in the face of Walmart monopolizing everything.
Line workers aren't paid or trained to deal with shoplifting, and it's more expensive for stores to pay the price of an injured or killed employee than it is for them to write theft off on their taxes. Filling overcrowded prisons with people stealing bread is just a way to let murderers walk, like you might be oh-so-concerned about.
Stop saying $1000. $1000 limit is only in California and this is a nationwide problem in both blue and red states. Plus, organized retail theft steals more than $1000 each time. Your ignorance is showing.
As a former reseller, Amazon has the capability of stopping those kinds of stores.
Amazon stops the sale.
Asks for a sales receipt before the item can be placed back in the sales loop.
No receipt, no resale.
They would lose too much money
When seller get caught with stolen good ban for life.
@@vietcongbuondanbannuocphan1791that won’t stop them, they can just find some other individual to trick/pay to sell on their behalf…
I don’t think Amazon really cares. Nobody is pressuring them.
@@vietcongbuondanbannuocphan1791 sure but just create another email account and use a different address.
Why do they always overlook fact that DA let these people go
Because our prisons are stuffed with people in for marijuana and/or filling cells meant for dangers to society with homeless people stealing bread is a good way to let murderers walk.
I work for a luxury store in south Florida and our store stays getting hit .. they come and take whole stacks of jeans leave the tables empty. They steal fragrances and is getting more and more frequent each pair of jeans or fragrance is at least 300-500 is really scary to the employees because we don’t know how far they can go to steal.. is really gotten out of hand
We need to stop wanting luxury brands.😮 It's becoming a problem.
@@lucakat9262 If your logic is true, will the thieves all of a sudden stop stealing? Let’s be more realistic.
@@T.Harry79 oh ffs, you be 'realistic.' You know you want those Nike Shoes and Chanel cologne and all that stuff. It could be counterfeit too. But it's all good because you know you gotta have it!🙄
I still think it's at one of the things that happens.🤔
Thieves don't wanna steal ugly knockoffs. You don't hear about Goodwill getting looted.
Retailers should make "dummy" models, like a dye pack in a bank. Keep the real product in the back. At least for the high end stuff.
You think retailers would do this when they're moving more towards self service models. Self checkouts, less workers on-site. The problems seem to stem from both local law enforcement and retailers wanting to save as many bucks as possible. These stores I'm sure are insured if the theft is big enough to impact margins.
Beats the purpose of having a sales floor and product displays, doesn't it?
How fcuking ridiculous would that look like in reality. And what constitutes high-end, when it's everyday items like diapers, razors, and deodorant that are going missing?
@@steviewanderer some places and products, power tools for example maybe a non working "display" you can holds and feel (attached to a cable lock) then take an empty box or paper slip to the register to buy it.. computer stores back when they were around had empty boxes of components on the shelf.
@@the240journey insurance will drop you if you make too many claims, its for emergency use not for theft being business as usual. When an insurance company rebuilds a burnt down house, they will not insure it again after that if it is an area prone to wild fires.
A lot of these stores are kicking and screaming about theft yet when you go into a lot of their stores there’s rarely ever a LP officer or even any employees around; even when there are employees they’re not allowed to engage with the thieves due to fear of lawsuit or fear of the thieves having a gun.
And their cameras are OFF!
So uh....why don't you just steal then, too?
Yep... I worked at J. Crew a good while back. Saw a lady walk in and start grabbing everything she could. My manager yelled at me to stop as I started chasing her (aka you'll get fired if you go after her). Sucks, because I could have laid a solid form tackle on the sidewalk all day.
I work for a major retailer. We get hit several times a week by several theft rings. They steal $2000 each trip with two perpetrators. Sometimes they will hit multiple times in the same day. They steal "Nike" and "Adidas".
I live in Australia. I frequently buy online. I notice luxury goods from the United States are significantly cheaper lately. I wonder if they are stolen goods.
When I worked at TJ Maxx many years ago the shoplifters would boast about it in the store and would call it free j. Maxx.
The company said we didn't need an LP officer.
No one cares
😂😂
I’ve dealt with this working in a Ulta in San Diego, these boosters can and will be violent. And shoppers would ask why we didn’t stop them, my reply was always life is priceless, a fragrance is not!!!!
17 mins blaming Amazon, retailers, consumers and organizers but no mention of the thieves actually stealing the products and the prosecutors who put them right back on the street to do it again 🤪
That's because the number of petty thieves is effectively infinite as long as there's organized crime and resellers of stolen goods who pay those petty thieves to steal.
The retail ecosystem is a paradox of gray area, whereas all entities with the likes of the industry itself, players, politicians, and consumers intertwined, and the gray area is so convoluted that the industry itself just accepts retail theft as the new norm knowing it can easily pass the 'surcharge' to consumers and use inflation as the real excuse.
Shoplifting in California is generally considered a misdemeanor offense if the value of the stolen merchandise is less than $950. This means the possible penalties include a fine of up to $1,000 and up to six months in county jail.
However, there are some exceptions. Shoplifting can be charged as a felony if the stolen goods are worth $950 or more, or if the theft is part of an organized retail theft ring. Additionally, a shoplifting conviction can be a felony if the defendant has certain prior convictions.
Going soft on crime isn't the answer. Its astounding how tone deaf the media and politicans can be. People are getting feed up with this nonsense.
So... the USA should build more jails, is what you are saying?
@@TEverettReynolds Allowing people to break laws without punishment is what you suggest? Robbing stores no problem if these people bust through your front door you may feel different.
You see SWAT teams raiding people's homes over this in the video, idk how "soft" we're being here
We need to stop protecting criminals, store employees should be allowed to go hands on in order to protect their merchandise that’s the only real deterrent that thieves fear.
@@TEverettReynolds
Make them bigger? Yes please
We are tired of this softness in society. No more slaps on the hand, time to get serious and harsh.
i was explain to some one this is how it works
amazon takes a 30 % cut from resellers
they only take a 4-5% for the official brand
so lets say a $60 item
amazon would make 18ish bucks off the reseller whether or not its stolen
same item from the brand less than 3 dollars for amazon
they make 6 times the profit from stolen goods than legit products
they may as well be a fencing platform from now on
wonder why amazon never cracks down on the resllers selling for sure stolen goods?
this is why
same thing is happening on Walmart's online platform
I doubt the fee for official brands. They are likely paying around the same. Official brands already make profit margin from the difference of manufacturing to the wholesale price that they would sell to regular retail stores.
Amazon had to reimburse the lady who bought the cosmetics in this story. There's more risk with resellers.
@@dannydaw59 amazon just charges the seller with fees. They got access to the sellers credit card I wonder how much Amazon took out while they are were locked up
Wait? Walmart has a selling platform like eBay and Amazon now? What?
@@lucakat9262 Yeah its how you ended up seeing listings for like 700 dollar PS5s on Walmart from 3rd party resellers on there.
Companies that got stolen should share the stolen inventory data (quantity, brand, item description etc) to the Amazon and other online market places, so that it would be easy and accurate to track down those thieves!
In my country, you get beat up death if you're robbing stores or stealing anything. But in USA people just wait & see it. Sad 😢
People who point at insurance really should file multiple claims within a short period of time and see what happens to their insurance rates.
Even if they don’t increase your insurance they could easily just deny the claim because insurance companies are meant to not pay out claims.
I work in retail and this is not how retail insurance works. Insurance doesn't cover stolen items. most corporations pass on the losses to the consumer by increasing prices. Company that I'm working at right now just did inventory. now we know which items are being stolen very often so those items prices are going up to cover the losses. companies won't lose money.
rates? they drop you if you have 3 claims in 3 years.
That’s after paying the deductible - then will have big increases and increased deductibles and/or theft excluded altogether.
Or, they’ll simply cancel and then it’s next to impossible to find new insurance. If do it’s going to be astronomical and awful coverage.
Finally, the rate increases are also spread out to all policyholders. We all pay for it.
Insurance companies do not have money trees. The premiums are deposits to bank account. A good portion of the premium is operational costs, it’s reinvested to make money. They are for profit companies with stockholders or members …. They have to make profit or they lose their financial ratings.
It’s ridiculous- insurance is not supposed to be “used”. It is intended for the unforeseen/unexpected claim’s. It’s a necessary evil. It’s not a savings account!!!
I’ve been in the insurance industry over 40 years.
The increase in retail theft is right in front of our eyes and the media still wants to down play it😂😂
Ya and borders wide open for terrorists from all over the world
Because it’s not
CNBC, a front and center member of the mainstream media features a story on retail theft and yet you are saying the media are downplaying it 🤣🤣
What video are you watching 😂 they’re literally arresting a lady front and center and it’s being downplayed? 🤡
HELP I ACCIDENTALLY BOUGHT THOUSANDS OF LIPSTICKS AND NEED TO RE SELL THEM!!!
I can help you sell them, tell me your address, I'll SEND YOU LAW ENFORCEMENT TO HELP YOU SELL LIPSTICKS.
Right? I don't even see why people buy from Amazon anyway. There's too many knockoff's on there. I get my makeup on ipsy. Amazon is ridiculously expensive.
Lol 😂
Keep up the Good Work. The Blue Voters don't Vote Change. So don't change.
Thank you, PD!!❤🎉 GOD BLESS YOU AND KEEP YOU SAFE FROM THE THIEVES!!
🤣😂😅
Things are so backwards at this point that these companies are afraid to speak out publicly against theft? Is that one of the take aways from this story?
You did what!?
From a broad perspective, everything is so backwards now. I believe it’s done on purpose to usher in another significant event. That might be one of the reasons why the companies aren’t speaking out. I might be wrong, but I was totally correct about things going to crap at a faster pace during the shutdown.
They are afraid they’ll be canceled and that Hollyweird will tell them that was a shameful act 😂
#cancelHollywood
The merch companies aren't the ones who need to speak out, the retailers are.
No, they get to write the theft off on their taxes because it's cheaper than an employee getting injured or killed, and it's similarly cheaper to let people steal than find space for them in our crowded prisons full of homeless people and marijuana users.
Seems like capitalism's a little counter-productive, huh?
So sad. It ruins things for everybody who used to enjoy shopping in person and it's tough on the employees and managers. I sure hope things get better.
This is why I don't buy high ticket items off of Amazon. Items I do purchase, I make sure is sold/shipped by Amazon.
Amazon brand is usually lower quality than the original or than another seller.
Small price to pay for cheap Chinese crap that Amazon will happily replace if it fails to arrive.
I dont get it... how cant basic accounting and/or taxes not identify a company like that for 10+ years!?
Whats the cost of goods sold? Cash? Making millions and not paying taxes?
I’m an attorney and CPA, what flag are you imagining?
The income is paid via Amazon, reported and taxed. Expenses? The company lists what they paid for the items, if the ratios don’t look like they’re claiming high costs, what would flag an audit?
There’s no reporting system for purchases of wholesale goods.
If they accurately claim what they paid the boosters, and log paid in cash, there isn’t even a tax issue if they were to be audited.
Cost of goods sold is only a relevant term for a company that elects accrual based accounting and many don’t. Most don’t actually until you get into multi multi millions in annual income.
The IRS is not responsible for reporting crimes other than tax evasion
Yeah, the irs is going after taxpayers to get money instead of actually going after these fraudulent companies/people.
I wonder if these companies might be using all those tools to combat the sale of stolen goods on the one hand and profiting on the other. The companies that did respond seem to be using well rehearsed ones.
That's interesting. And when it comes to making money, I wouldn't be surprised.😮
It’s funny that they are trying to frame this as a benefit for the people when in reality they are protecting the big companies.
There is a bit of everything. My feelings on the subject matter were not persuaded by any of this reporting
Well, it ultimately affects the people as well since more retail theft means more higher prices for the rest of us.
We need to care because of the many small businesses there are in the US market. Small businesses get hit by ORCs and we need harder chargers.
Counterfeits are bad. You buy fda approved cosmetics then turns out it was counterfeit manufactured at China? You never know what's on it. What if they have cancer-inducing chemical in it? It's not like this thieves are selling it for free. They took lots of profits too
What did the state of California expect when the laws is so loose with smash and grabbers?
You think Cali is the only state with this problem?
Organized retail crime is a very different thing than rioting events and small time thieves. The higher dollar thresholds exist specifically so they can go after organized crime more effectively, without crushing people that are already in poverty. Small thefts are a drop in the bucket compared to that. And they don't have to pay 40k/yr/prisoner in those cases. It's cheaper. It's more effective in stopping the crime. One of the many reasons Cali economy is better than any red state.
@@Stillswingingforthefences Did you just comment without watching the video? It is a cross state operation. The women Michelle from the California mansion is the top woman of operation that ultimately sell them online. The police charge stated that she organized dozen woman to stealing across states. The woman operate from East coast to west coast. At least accord the retail industry spokesman in the video, it is amazon's fault that allows sold stolen good in a easy and massive amount even internationally.
I'm in Florida, and theft is pretty bad here too. Sawgrass Mills, a huge mall outside of Ft Lauderdale, was just hit yesterday by smash and grabbers who used pepper spray on Neiman Marcus employees. That mall has had similar robberies in the past. Florida is notorious for financial fraud, including tax fraud, ID theft, and Medicare fraud.
ah yes, blame california for a national crime!
There is honestly no way to tell if something is stolen
There is if the implement of RFID chips on the merchandise. Track data of the merchandise leaving without being paid for. Every RFID chip is unique and you could track to see where that merchandise came from to know if it was stolen.
Brands can limit who can sell on Amazon. Not just any store can sell brands like Ugg and Nike. These brands ask Amazon to restrict sellers.
Oh my goodness, US consumers are going to suffer on theft. Mostly the store is going to pile the lost money and slowly increase the price. And also as consumers, at what point does stores get to increase the costs? Is there a price ceiling? Price index? Right now, the wages is not catching up with the inflation. Then we have these types of theft and crimes, and we are also dealing with inflation. At what point do we say, enough is enough? 17:05
Thank you to all the law enforcement officers who fight crime. You are the last resort against chaos. The politicians and lawmakers and the voters are guilty for allowing all of this to happen, allowing petty theft to no longer be a crime, encouraging criminals.
Can you do a sting operation to expose banks stealing from people, high taxes being milked from regular people? This does not help consumers. Prices will never go down.
And massive amount of wage theft. $50 billion a year.
Stunning the amount of effort the governament can put in something ment to protect only bilionary companies
Haven't been able to buy SO many items, because things don't show up as out of stock, when stolen, and probably get stolen as soon as restocked.
3 times i ordered from Amazon and never received product eventhough they swear they sent it. I no longer deal with Amazon!!!
How is this possible for these retailers to not notice the losses? Hard for me to imagine, especially in today's electronic age.
Bravo ☝🏼 this is why malls are dying, retail can’t keep staff, and these thieves get more brazen. Also all those cosmetics you see in this edit will have to be destroyed in a landfill. Cosmetics need to be stored in a cool dark environment, and there is no way to know if they’ve been contaminated so they will not be sold. Don’t perpetuate crime, loss of employment, and a bad economy from loss of local tax!
I was thinking that when I saw the merchandise. Especially makeup. So, yes, we can now list crime as another problem we have with plastic on the planet.🙄🤔
Fantastic report, Courtney! Honestly, I very rarely see an item on Amazon that has a huge discount, such as 40% cheaper than the stores. I get why they target beauty products! One little bottle of something can be $75. Think of how much money was in those Ulta boxes, that are three cubic feet!
The locked shelves seemed like a minor inconvenience, until stuff like taking a half hour to get someone with a key, for a $7 item, or everyone with a key clocked out 2hrs before close
This is ridiculous, the consumer is a victim but ALSO the businesses and companies that are losing thousands a day which will cause stores to close and people to be unemployed! But the fault lies SOLELY upon the laws that have done nothing but harm, especially in CA! I would sue the state of California if I was a retail for start ups.
Lol😂.. The stores never lose. They have insurance and report more than what they lost. If anything they profit off stolen items
Let it get crazy, clamp down w new restrictions that everyone says are ok because of how crazy it is out there. What if all the while that craziness was intentionally cultivated. Seems to direct or reform a society into a new paradigm that differs from the current, such methods are required. Gradual pressure applied in the right ways.
"Unsuspecting buyers"? If the item is brand new and is sold with a huge discount from a private person, who also happens to have a lot of other brand new stuff for sale below market value, how can you really claim to not know it's almost certainly ill-gotten goods?
Because Amazon...
Because companies get discount for buying bulk! Or it can be old products. So yes, unsuspecting buyers.
@@jessica33313 overstock too. If they overstock items, then they'll bring the prices down to sell.🤔 At least, for a period of time.🤷♀️
because there's this thing called buying in bulk and selling for cheaper on amazon
I had a little online business selling various items but I couldn’t do it anymore because there are stores selling items so cheap and I always wondered how.No matter how cheap I sold these items I couldn’t sell as cheap as some stores
instead of letting the criminals walk out the store with your supplies, maybe start from there.
What the people know about this retail theft is that the robers will be release in few days to repeat the cycle. So yea is a lost cause.
Wow crazy, I need the source for these products just for research purposes only
wow, I never would have thought that while shopping on amazon we are at risk of buying stolen goods..
Every consumer wouldn’t think that while making a purchase.
As someone how has worked retail since the early 2000s i promise you, retail theft is increasing every year. And i dont see it getting better. People feel entitled to these things for free while the people around them pay for the items. Its infuriating and sick.
As an Amazon seller I’ve always said these people are selling stolen merchandise.. I knoww llc can help you buy in bulk but it’s like how can you scale profiting 20 cents on each item , it’s waaay to good to be true .
I knew I was getting outpaced unfairly
also . as you know Amazon is very strict and asks about invoices . i wonder how were they able to get pass that
People are so quick to blame Amazon like the people have been arrested I think the police should just keep working at it nothing is perfect every system can be taken advantage of in one way or another what matters is that when those are caught the full action of the law kicks in instead of blaming amazon because they are big
Amazon spends millions on ai on their “cloud”. To prevent these things from happening. Clearly is not working. 🤖
Amazon profits from stolen goods and makes it too easy to sell them, so it has no interest in stopping any of it. Seriously, you can't catch all the robbers, but you can make it more difficult to sell the stolen goods since you know most are being sold on Amazon. That's why you target Amazon.
Amazon is for sure partly to blame. E-commerce companies went to Congress to pass a bill (section 230 of the Communication Act) for them to have protection against 3rd party sellers an advantage not afforded to retailers.
Why is Amazon associated with many negative outcomes? Selling on Amazon is advertised as a way to gain financial freedom. Amazon could probably check if the people obtained the goods were legal. That means providing receipts.
You need to blame you government that allows people to walk into shops and grab anything they want and walk freely
Thank you for this business idea. Life is too damn difficult right now, we gotta hustle.
🤣
Seems lucrative these days!! Let’s eat!!😂
If its hard times yòure worried about be certain that you're behavior will cultivate more. Very real chance this spirals into a state where you'll be stealing canned beans, for u and your family to eat, instead of something to buy your new watch with. There is no good outcome to mass parasitic behavior.
Amazon and other resale sites need to do something.
Can’t stand a thief 🤮🤮🤮🤮🤮
when an arrest is made, how long before the prep is back on the street? Amazon doesn't run the criminal system, or lack thereof.
Love how the Gov blames Amazon. Not the people committing the crime. People that want to commit crimes will always find a way to do so, and how lovely that CA provides a no recourse state to do it in.
Crime rates are almost a direct correlation to the conditions of the society they belong too. People haven't changed in 2000 years. Low crime rates tend to come from places where ALL the citizens basic needs are met comfortably.
In a ironic kind of way, capitalism IS to blame. You can't have a system that systematically moves wealth from the bottom to the top while also making that top further and further away and not expect consequences.
You could have a million police, if the economic conditions around house prices, basic needs, healthcare and education continue to decline, crime will continue to rise.
The government knows this of course, they rely on the self fulfilling loop that makes spending more tax dollars on fearmongering and police equipped like its ww3 easier to explain to the public.
It will inevitably collapse at some point though, it's only a matter of time. The exact scenario's might be different throughout the centuries but history always repeats.
It makes more sense to fix the gaps in a leaky bucket than to deal with individual drops that fall through.
Government is big picture, your local law enforcement is individual
It doesn't help that the retailers just let people walk out the store without trying to stop them. In the old days retailers used to stop shoplifters from leaving the store. Not stopping shoplifters just encourages more shoplifting....
@@madbug1965 lol “the old days”
@@madbug1965 Why would someone making minimum wage put themselves in harms way, when the company sure as hell doesn't care about them.
As I said above, its a systemic thing, crime rates are determined almost perfectly by the health of the society. It literally makes no difference what the retailers do, if the underlying situation isn't improved, crime will continue to increase.
Family dollar would get so bent up over the loss we experienced each year at inventory. Even set up more cameras over the registers because they were convinced it was internal theft. The real issue is that they will only schedule 1 employee per shift to clean, monitor, stock, and check people out. They give out limited hours to our stores making it very difficult to schedule at least 2 people per shift.
We need to instill strong morals to our youth to prevent this type of behavior in the future. The fabric of our society is eroding before our eyes.
Thank God someone is finally standing up for the interests of multinational corporations.
Found the thief
@@JB-IGOR Neither the corporations nor the government ask your permission when they tax you to fund their security. So who's the real thief here? Think about that.
@@benjamindover4337 so you don't like taxes?! Okay, what's your point exactly?
@@benjamindover4337I’m 14 and this is deep
I won't blame Amazon. All you can expect them to do is report suspicions.
If the question of if the actual companies are in on these theft rings is even being entertained, then, the answer is YES, they're in on it, for a variety of reasons:
-the companies can write off thefts as losses on their tax returns, thereby lowering their tax burden
-the companies can turn the losses in to their insurance companies and get a hefty check
-the airing out of theses crimes to the public can gain these companies free advertising by making people think that these products are so GREAT AND SUPERIOR, that people just wanna STEAL them.
Yeah they're in on it. 🤷
We skipped over the most important part of this report. Retailers are exaggerating the theft that's occurring in their stores in order to justify their plummeting sales. I walked into a popular sporting goods chain last weekend and there was almost no one in the store. Go into major clothing retailers and you see the same thing. People are shopping online and it's killing the retail industry, who has stubbornly refused to conform. Think about the irony of that. These stores are too stubborn to conform to a new age of how people show online and their empty stores have literally become depots for black market goods that are being sold online anyway.
Maybe we need to stop shopping on Amazon to minimize this kind of thing happening
Maybe you need to stop making dumb comments
aaaand that is why Marshalls and Tjmaxx sounds a symphony with all alarms jumping to the minimum touch...
Stores that are targeted for retail theft: understaffed, and treasure hunt type stores like TJ maxx, ross and off price liquidation stores. Often they have luttle to no formal inventory system as well so tracking theft is less stringent .
They probably paid off shipping insiders. No way you could steal that much off the retail shelves.
I sold 500k of electronics on eBay , they didn’t ask for any proof of purchase
Where are they selling the stuff?? I've looked everywhere
Amazon. It’s gone so far down hill… half the stuff on there is either stolen, or pulled out of a dumpster behind a store. Walmart’s resell site is also really bad (though it’s funny they let people sell stuff stolen from their stores in their own site).
Ebay...Ali baba...etsy
Did you check up Uranus
@@MaekarManastormplease find Christ
I was a 3rd party seller on Amazon and in order to sell items in Beauty you are REQUIRED to present a current invoice. This story is NOT completely true. Not sure if eBay has this same policy. Fake news!
I live in St Louis and my local Ulta had their door smashed in and looted and everything in between.
Blaming Amazon? Why not blame the thieves? Why not blame the politicians protecting the thieves? Why not advocate for harsher punishments for theft? I'd rather live in a world where the thieves are removed from society rather than the online retailers being more strict.
You haven't worked with Amazon before as a supplier. They blackmail you into selling directly on their site before they police stolen goods for you. They can stop much of this but they refuse to.
Yeah! And in California not just harsher punishment, just punishment! Where shoplifting under $1000 is not a crime.
@@Cherrypieqam The threshold is design to effectively take down organized crime without burdening the improvished. This can be quiet cost effective when you look how much it cost annually per prisoner. If California were to simply be harsher on crime, essentially your saying "build more jail" as if they can just snap more jails into existence.
You can try to blame thieves, but the real reason this exists is the demand from unscrupulous people who go out there and buy all of this, especially on purpose.
When there's a demand, you can't stop the crime with punishment because others just step in. Just look at the drug flow.
Amazon as a major online storefront which allows these stolen goods to be sold as a distributor is part of the problem. Definitely.
how about prosecuting shoplifters?
eBay must be by far the worst offender in terms of quantity and value of merchandise fenced. I'm quite surprised CNBC didn't attempt to contact eBay regarding this story.
Why did it take 12 years to arrest her? Lock the thieves up and stop this crime from happening going forward.
Unfortunately due to this situation in this video is in California these criminals will be back on streets in less than 48 hours
My mom’s one friend works at a grocery store in California and theft each month isn’t uncommon. A bunch of people they caught with police help didn’t get out right away aside from elderly and minors if no long prior offenses. She resides in city that has been unaffiliated/non-partisan run for years.
What to expect in a state where shoplifting is encouraged by politicians by making shoplifting under $1000 not a crime.
Bruh we are the only state to send criminals on death row consistently thats why every other state has a million unsolved murders worrying about petty theft 😂😂😂😂
As an Amazon shareholder, this is disappointing to see, these transactions are important for our profits.
Amazon should be held accountable for incentivizing the theft of goods for resale.
This is not an Amazon problem... This is a retail and government issue that allows shop-lifting. Let workers stop shop-lifting!
as a worker i could care less. I am not risking my life over this. have amazon be liable for profiting off stolen goods, they will come up with a solution real fast.
100%
Bring back Service Merchandise from the 1989's. View the item, then scan the floor item barcode and have your items ready at the pickup area or maybe delivered to you in your car.
Wait, it would be better if you could just order at home from the couch and have it delivered to your front door!
also business should be keeping a eye on their products. how the hell did this 3rd party store get a hold of your products and selling it for soo much cheaper? like there is always a paper trail for legit goods.
THANK YOU....
The report focuses on shifting blame to the stores or companies as if they are encouraging this behavior. I realize this is a nuanced conversation but what's driving these people to commit these crimes? The answer is obvious.
> but what's driving these people to commit these crimes?
Really? People have been committing crimes for as long as civilization has existed. There is nothing new here causing any of this. Some people are just bad...
Excess demand for cheaper goods . Thief’s have no cost of sales as they steal inventory for free…This means that they can sell for cheaper than retail while profiting significantly (rev-0 cost = 100% gross margin)
@@user-cp2jh4yr4q Wheter you bang on the block or the boardroom for your millions, it's all blood money of the underpaid working class.
i dont care if they steal food
California should have never allowed it to get this bad in the first place
EXACTLY, their own fault!!
It’s not just California.
The problem is that the thieves can get it for free and the honest person has to pay premium price.
Each product has a SKU code And bar code and inventory #, they would be able to check this lol each items are then scanned in the store they’re sent in for clarification